Plastics firm Coral Products has reported a dip in revenues and profit following what its chairman described as "one of the most difficult" trading periods he has ever experienced.
Joe Grimmond cited Brexit, the US-China trade wars, the 2019 General Election and the Covid-19 pandemic as the reasons why his Merseyside-based firm saw profits drop from £24.7m last year to £22.3m.
In audited full-year results for the year ended April 30 published on Tuesday, the Haydock company said profits had dropped from £1m to £400,000 compared with the year before. The firm said the four factors hit his firm in the second half of that period - with the impact of Covid-19 mostly to blame.
However the company, a manufacturer and distributor of plastic products in sectors including food packaging, personal care, telecoms, also published its results for the following six months - to October 31 - and it's good news, with the firm having returned to profit.
In the full year results documenting a difficult year to April 30, Mr Grimmond said: "This current trading period has been one of the most difficult I've ever experienced, with Brexit, the United States - China trading wars, the general election and the Covid-19 pandemic.
"The net effect of all these culminated in a steep reduction in sales in the second half from our budgeted expectations. This fall in sales has resulted in a loss in contribution for the period.
"Our group is facing a crisis that is unprecedented, but we believe that our balance sheet and margins mean that we can mitigate the effects. The crisis will pass at some point. At that time, it will be the work we do to move the business forward that will determine our future success.
"We have enjoyed a strong start to our current financial year and we look forward to a satisfactory outturn for the year given the prevailing conditions."
However, in its results for the following six months to October 31, the firm revealed a return to profit - standing at £4.3m, compared with the previous year's £4.6m.
Sales stood at £10.65m compared with £12.14m the year before, with positive factors including the firm's recycling plant and extruded fire retardant click and fix product.
Mr Grimmond's statement in the half-year results said: "In my chairman's statement that accompanied the release of the 2020 accounts I expressed concerns over the uncertainties associated with the ongoing Brexit situation and coronavirus pandemic.
"Despite these concerns I am encouraged with the level of sales and profitability achieved over the period".
